Oct. 30 (Bloomberg) -- Marriott International Inc., the
largest publicly traded U.S. hotel chain, reported third-quarter
earnings that beat analysts’ estimates as demand rose for rooms
at the company’s North American properties.

Net income climbed to $160 million, or 52 cents a share,
from $143 million, or 44 cents, a year earlier, the Bethesda,
Maryland-based company said today in a statement. The average
estimate of 14 analysts was 44 cents a share, according to data
compiled by Bloomberg.

Earnings beat the company’s own forecast of 42 cents to 46
cents as Marriott was helped by demand from leisure travelers in
the U.S. and growth in bookings by both individual business
travelers and companies using hotels for conferences and
seminars. Worldwide occupancy reached a six-year high, the
company said in today’s statement.

“We had a solid quarter,” Chief Executive Officer Arne
Sorenson said in the statement. “Short-term group business
picked up in North America and occupancy rates reached nearly 75
percent worldwide.”

Business group reservations for next year grew at a faster
pace in the third quarter than in the previous three months,
Marriott said.

Revenue per available room, an industry measure of
occupancies and rates, climbed 5.5 percent from a year earlier
at company-operated hotels in North America. Worldwide, revpar
increased 4.8 percent, adjusted for currency fluctuations,
according to the statement. Total revenue climbed to $3.16
billion from $2.73 billion.

Revpar Growth

Marriott said it expects North American and worldwide
revpar to increase 4 percent to 6 percent next year. For the
fourth quarter, Marriott forecast comparable systemwide revpar
to climb 4.5 percent to 5.5 percent in North America. Hotel
demand in the U.S. was affected by the government shutdown in
October, the company said.

Because of a change in the company’s fiscal calendar, the
third quarter was 92 days long, compared with 84 days last year.

Marriott announced its third-quarter results after the
close of regular U.S. trading. Its shares fell 0.9 percent to
$44.20 in New York today.

Starwood Hotels & Resorts Worldwide Inc., owner of the
luxury St. Regis and W brands, last week said revpar in the
third quarter, adjusted for currency fluctuations, rose 4.7
percent worldwide and 5.8 percent in North America. The
hotelier’s shares last week rose the most in three months after
it reported third-quarter earnings that beat estimates and
forecast an increase in revenue growth for 2014.

(Marriott will hold a conference call tomorrow at 11:30
a.m. New York time. See MAR US <Equity> EVT <GO>.)